Mamaearth share price jumps 20% after stellar Q2 results

Shares of Honasa Consumer ltd, the company behind popular FMCG brands like Mamaearth and The Derma Co, experienced a notable surge in its stock on Thursday, with a 20% jump following its report of nearly doubling its consolidated profit after tax in the second quarter ending September.

At the time of writing this copy, the stock soared by 19.99% to hit the upper circuit limit of Rs 422.50 on the BSE and similarly surged by 19.99% to reach its highest permissible trading limit for the day at Rs 423.75 on the NSE.

Profit rises in September quarter

In its regulatory filing, Honasa Consumer Ltd disclosed a significant increase in consolidated profit after tax to Rs 29.43 crore for the mentioned quarter, almost double the Rs 15.19 crore from the same period a year ago. The company, which debuted on November 7, showcased robust performance.

During this fiscal's second quarter, Honasa Consumer's revenue from operations witnessed a growth of 20.85%, reaching Rs 496.10 crore compared to Rs 410.49 crore from the previous year's corresponding period.

Meanwhile, total expenses for the September quarter totaled Rs 463.98 crore, marking an 18.25% increase from the expenses incurred during the year-ago period.

Honasa Consumer IPO

The Initial Public Offer (IPO) of Honasa Consumer was subscribed 7.61 times on the last day of subscription on Thursday.

The Rs 1,701.44 crore IPO had a price range of Rs 308-324 a share. The Gurugram-based beauty and personal care company was founded in 2016 by husband-wife duo Varun and Ghazal Alagh.

It began with the launch of Mamaearth and over the years added five more brands to its portfolio, including The Derma Co, Aqualogica, Ayuga, BBlunt, and Dr Sheth's, and built a 'House of Brands' architecture.